When Supply Disruptions Occur

question 36

Multiple Choice

When supply disruptions occur,

• A)smaller chains outperform a network with one long chain.
• B)one long chain outperforms a network with several smaller chains.
• C)a dedicated network outperforms a network with one long chain.
• D)a dedicated network outperforms a network with several smaller chains.

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Definitions:

Solvency

The ability of a company to meet its long-term financial commitments and continue its operations.

Profitability

The ability of a company to generate earnings as compared to its expenses and other relevant costs incurred during a specific period.

Working Capital

The difference between a company's current assets and current liabilities, indicating the liquidity available to fund its operations and growth.

Liquidity

The facility to convert an asset into cash seamlessly without impacting its market rate.